Bank of America Sets $460 Target, Predicts Tesla Robotaxis in Seven Cities
Bank of America reinstated coverage of Tesla with a Buy rating and a $460 price target, calling it the leader in autonomy and predicting robotaxi deployments in seven metro areas in 2026. BofA says Tesla’s vision-only system costs $40,000 versus $150,000 for Waymo and FSD fleet logs seven times fewer collisions.
1. Bank of America Reinstates Coverage
Bank of America resumed coverage of Tesla with a Buy rating and established a $460 price target, marking a shift after previous coverage lapses and signaling increased analyst confidence in Tesla’s autonomy strategy.
2. Vision-Only Autonomy Cost Advantage
Tesla’s camera-only self-driving approach costs roughly $40,000 per vehicle compared to $150,000 for LiDAR-based robotaxis like Waymo, leveraging its extensive consumer fleet data to improve performance while reducing hardware expenses.
3. Robotaxi Deployment Outlook
Analysts forecast Tesla will launch robotaxi services in seven new metropolitan areas during 2026, capitalizing on its scalable, lower-cost autonomous platform to capture market share in the emerging mobility sector.
4. Safety Data Divergence
Bank of America cites internal data showing Tesla’s FSD-engaged fleet experiences seven times fewer collisions than the U.S. average, though recent regulatory statistics suggest a divergent view, indicating a threefold higher crash rate versus human drivers.